Bombardier Aerospace Announces Launch of Flexjet Asia.

Business Editors

NEW ORLEANS--(BUSINESS WIRE)--Dec. 12, 2001

Bombardier Aerospace (TSE:BBD.A.)(TSE:BBD.B.)

Shandong Airlines Rainbow Jet Co. Ltd., Subic International Air

Charter Inc. and Jet Asia Limited Named Launch Operators

Bombardier Aerospace (TSE:BBD.A.)(TSE:BBD.B.) announced today the launch of Bombardier Flexjet(R) Asia, a charter network that will facilitate access to business jets based in Asia and expand the company's worldwide portfolio of business jet solutions.

"Bombardier has a strong position in Asia, having been the long-time market leader," stated Peter Edwards, president, Bombardier Business Aircraft. "Our charter network, which will offer executives and government officials a first-rate, reliable and straightforward travel solution in Asia, exemplifies our leadership and commitment to this market."

"Business aviation is growing in Asia and - following six months of market testing - we have confirmed that customers in the region and those also visiting from abroad have a strong desire for efficient and convenient travel solutions. North American and European business jet users are requesting, in growing numbers, that we provide an Asian service equivalent to the standards they currently enjoy," observed Clifford Dickman, president, Bombardier Flexjet, Bombardier Aerospace.

"We have listened carefully, researched our options and have decided that charter represents the preferred transportation solution in Asia. We anticipate a solid market response to this opportunity and are dedicated to meeting these needs."

Bombardier Flexjet Asia - the first and sole business jet solution of its kind being offered in the region - will leverage technology pioneered by Bombardier Skyjet(R), the company's North American on-line charter provider. Information about the availability of Bombardier-built business jets in the region will be consolidated at the network's hubs in Hong Kong and Washington, DC. The operators in the database, along with their aircraft and pilots, will undergo audits conducted by independent third parties.

Customers seeking charter within the Asia-Pacific region will be able to access the network 24 hours a day either via telephone or through the Internet, and then either book one-way, round-trip or multi-leg reservations as well as other services related to charter travel.

Bombardier Aerospace confirmed that Shandong Airlines Rainbow Jet Co. Ltd., Subic International Air Charter Inc. and Jet Asia Limited have agreed to be selected as the network's launch operators.

Shandong Airlines, which recently signed a firm purchase order to acquire four Bombardier Challenger(R) 604 business jet aircraft, plans on using its fleet in Bombardier's Flexjet Asia charter network. The first Bombardier Challenger aircraft is scheduled for delivery in March 2002.

"We are delighted to join with Bombardier to provide this special, seamless service, as it strengthens our growing relationship with them," stated Chairman Sun De Han of Shandong Airlines Corporation Ltd. "Our overall cooperation with Bombardier is mutually beneficial. Demand for business charter services in Asia is on the upswing and the People's Republic of China, in particular, represents a strong market for this service.

China's entry into the World Trade Organization (WTO) and its successful bid for the 2008 Olympic games will further stimulate demand for charter in the region.

"Our fleet of Bombardier Challenger aircraft, combined with Bombardier's Skyjet technology and charter brokerage experience, positions Shandong very nicely to capture a large share of this market."

Subic International Air Charter Inc. has also been selected as a launch operator for Bombardier's Flexjet Asia charter network. The company, based in the Philippines, currently operates a fleet of Bombardier business aircraft including the Bombardier Learjet(R) 31A, Learjet 35 and Learjet 45. It has also placed an order for a Bombardier Continental* business jet which is scheduled for delivery in 2003. Subic has agreed to offer several aircraft from its Bombardier fleet to Flexjet Asia for charter purposes.

"This is an exciting opportunity for both Subic and Bombardier," stated Jose Alvarez, president, Subic International Air Charter Inc. "We have always been strongly committed to offering the best chartering services and are extremely pleased to have Bombardier as a partner as we expand our operations within Asia."

Charles Woods, president and chief executive officer, Jet Asia Limited, echoed these sentiments: "Bombardier Flexjet Asia is the perfect channel to grow our operations. Bombardier's outstanding line of business jet aircraft and its strong international reputation coupled with our charter operations expertise and aircraft maintenance experience make this an excellent partnership."

Scheduled to begin operations in the second quarter of 2002, Flexjet Asia will offer several benefits to Bombardier aircraft customers. A select, qualified group of current and future Bombardier business jets owners will be given the opportunity to offer their aircraft for chartering services, thereby enabling them to potentially generate additional revenues and help offset the cost of ownership.

Shandong Airlines, headquartered in Jinan, capital of Shandong Province, about 500 kilometres south of Beijing, is one of the fastest growing airlines in China with among the best records in safety, service and profitability. It is also the commercial launch customer for both Bombardier's CRJ200* and Challenger 604 business jets in China.

Last year, it became the first regularly scheduled regional airline in China to order Bombardier CRJ* regional aircraft from Bombardier Aerospace when it acquired five CRJ200 jets as part of a major expansion program. It has since leased another five Bombardier CRJ200 aircraft to keep up with its expanding regional network.

Based in the Philippines, Subic International Air Charter Inc. operates a fleet of Bombardier Learjet - including the Learjet 31A, Learjet 35 and the Learjet 45 - at the Ninoy Aquino International Airport in Manila. The company's central location enables it to provide customers with easy access to the most popular business destinations within Asia.

Based at the International Airport in Macau, Jet Asia Limited is a premier aviation management and executive charter company, operating two cabin-class Bombardier Challenger aircraft on behalf of the Sociedade de Turismo e Diversoes de Macau (STDM).

Jet Asia employs mechanics who are trained on the Bombardier Challenger and certified by the FAA (USA) and AACM (Macau). These mechanics maintain the aircraft according to the manufacturer's specifications and maintenance programs, resulting in safe and reliable travel.

Bombardier Aerospace, a unit of Bombardier Inc., is a world leader in the design, and manufacture of innovative aviation products and services for the regional, business and amphibious aircraft markets. It also offers Bombardier Flexjet fractional ownership, aircraft charter and management, technical services, aircraft maintenance and pilot training for business, regional airline and military customers.

Bombardier Inc., a diversified manufacturing and service company, is a world leading manufacturer of business jets, regional aircraft, rail transportation equipment and motorized recreational products. It is also a provider of financial services and asset management. The Corporation employs 79,000 people in 24 countries in the Americas, Europe and Asia-Pacific and its revenues for its fiscal year ended Jan. 31, 2001 totalled $16.1 billion Cdn.

(R)Registered trademarks of Bombardier Inc. *Trademarks of Bombardier Inc.

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